Texas Finance Code
§ 182.405 — SALE OF ASSETS
FI § 182.405Title 3. FINANCIAL INSTITUTIONS AND BUSINESSES · Part F. TRUST COMPANIES · Ch. 182. POWERS, ORGANIZATION, AND FINANCIAL REQUIREMENTS · Art. E. PURCHASE OR SALE OF ASSETS
Statute text
View on source(a)A state trust company may sell all or any portion of its assets to another trust institution or other buyer, except that the prior written approval of the banking commissioner is required if the sales price exceeds an amount equal to three times the sum of the trust company's equity capital less intangible assets. The finance commission by rule may require a state trust company to obtain the prior written approval of the banking commissioner for a transaction not otherwise subject to approval that involves potentially substantial risks to the safety and soundness of the selling trust company.
(b)If the prior approval of the banking commissioner for a sale of assets is not required under Subsection (a) and the sale involves the disposition of an established location of the state trust company, the state trust company must provide written notice of the transaction to the banking commissioner at least 30 days before the expected closing date of the transaction.
(c)The board of a state trust company, with the banking commissioner's approval, may cause the state trust company to sell all or substantially all of its assets, including the right to control accounts established with the state trust company, without shareholder or participant approval if:
(1)the banking commissioner finds that the interests of the state trust company's clients, depositors, and creditors are jeopardized because of the hazardous condition of the state trust company and that the sale is in their best interest; and
(2)the Federal Deposit Insurance Corporation or its successor approves the transaction, if the deposits of the state trust company are insured.
(d)A sale under Subsection (c) must include an assumption and promise by the buyer to pay or otherwise discharge:
…
Legislative history
Acts 2007, 80th Leg., R.S., Ch. 735 (H.B. 2754), Sec. 15, eff. September 1, 2007.